Festive fun is off the menu

A total of 28 per cent of respondents in the latest Close Brothers Business Barometer said they planned to axe their company’s Christmas party, with a further 24 per cent saying that they would go ahead with their party but that it would be on a smaller scale than usual.

CEO of Close Brothers Invoice Finance, David Thomson said: “It would appear that many businesses are still in austerity mode. While it’s good news that they’re still trading, it’s not so great for staff who are working harder than ever and had been looking forward to celebrating with a few drinks and a nice meal at the expense of their employer this Christmas.

“As for those who are going ahead with their party, 39 per cent stated that staff would have to contribute to the cost,” he added.

A fifth of those surveyed said that trading conditions for their business have deteriorated over the past 12 months.

“If money is tight then of course you need to look closely at your expenditure. However, if businesses do away this type of reward for staff, it could affect morale and productivity. It’s important to find an alternative way to recognise their contribution and therefore maintain motivation coming into 2013, which looks set to be another tough year.